Renault, Nissan and Mitsubishi deny reports of French government stake buy out

Alexandra Rogers
Follow Alexandra
Renault's Electic Car Debuts In Tel Aviv
Any sale of the government's stake in Renault would be politically sensitive. (Source: Getty)

Renault, Nissan and Mitsubishi have denied reports that Nissan is in talks to acquire the French state's stake in the domestic car dealer.

Shares in Renault were up by 5.64 per cent at €94.44 at the close of markets today, following speculation that Nissan was looking to acquire the government's 15 per cent share in Renault, in a move that was touted as precursor to a possible merger.

A spokesperson for Renault-Nissan-Mitsubishi said: "As announced last week by Carlos Ghosn, chairman and CEO of Renault-Nissan-Mitsubishi, the Alliance is exploring deeper synergies and increased operating convergence, but has no plans to change the cross-shareholding ratio of its member companies.

"Any discussion about a share transaction involving Renault, Nissan or the French State is pure speculation."

Any sale of the government's stake in Renault would be politically sensitive given the government's past socialist narrative, which saw it acquire a 23 per cent stake in the company in 2015 to ensure the success of 'long-term capitalism'.

The stake was later reduced the current 15 per cent in 2017, after Emanuel Macron promised to divest of the shares on assuming office.

Read more: Renault, Nissan and Mitsubishi have teamed up to launch a $1bn VC fund

Related articles